This accumulation is part of the company’s previously announced bitcoin treasury strategy, and the firm plans to continue acquiring bitcoin and bitcoin-related assets, depending on market conditions, Trump Media said in a Monday press release.
The company’s bitcoin treasury holdings now comprise two-thirds of the $3 billion in liquid assets of Trump Media, which also operates social media platform Truth Social, streaming platform Truth+ and FinTech brand Truth.Fi, according to the release.
“We’re rigorously implementing our publicly announced strategy and fulfilling our bitcoin treasury plan,” Trump Media CEO and President Devin Nunes said in the release. “These assets help ensure our Company’s financial freedom, help protect us against discrimination by financial institutions, and will create synergies with the utility token we’re planning to introduce across the Truth Social ecosphere.”
Trump Media announced May 27 that it had entered into subscription agreements with about 50 institutional investors, that it would raise about $2.5 billion in the deal, and that it planned to use the proceeds to create a bitcoin treasury.
The company said this move would benefit its subscription payments, utility token and other planned transactions across its businesses.
“We view bitcoin as an apex instrument of financial freedom, and now Trump Media will hold cryptocurrency as a crucial part of our assets,” Nunes said in a May 27 press release.
It was reported in June that many public companies have turned to bitcoin treasury strategies, which involve setting aside some of their cash and reserves toward the cryptocurrency, to imitate the success of software company Strategy. That firm, once known as MicroStrategy, began stockpiling bitcoin in 2020 and now holds upwards of $63 billion worth of the digital token.
In some other recent moves, Trump Media released a Truth Social app for iPads, applied to register artificial intelligence-related trademarks related to its plan to integrate an AI function into the Truth Social platform, and filed a registration statement with the Securities and Exchange Commission (SEC) for a crypto exchange-traded fund (ETF).
